Value Promises

John is a charismatic owner of a $40 million manufacturing company with 75 employees. Revenues are up 20 percent, and the future looks bright. John eats and breathes customer partnerships. “Focus on the customer,” is his mantra. In his private life, John has a penchant for expensive sports cars, and he owns a 75-foot yacht. At work, his salespeople are begging for better cell phone coverage and personal technology to keep in touch with customers while on the road, and employees in shipping want a new computer program so that they can access the shipping software and better serve customers.

“We don’t get it,” a sales rep said. “We’re working our butts off, and this company is very successful. He says, ‘Focus on the customer,’ but when we ask for a cell phone that works in Alabama, he says, ‘No.’”

John’s messages appear mixed, and mixed messages confuse people and damage credibility.

A leader’s promises are constantly under scrutiny, particularly during times of organizational difficulty or change, such as layoffs, reorganizations, or stressful business conditions. When a leader backs off from a promise during these times, he or she plants seeds of suspicion and distrust. Yet followers expect leaders to make and keep value promises. Leaders are always under pressure to make promises, and value promises—commitments in word and behavior to particular ideals—are inherent in true leadership.

As a leader, what kinds of value promises do you make?

• The promise that your followers can entrust their future to you

• The promise that those who follow you can achieve their potential

• The promise that you are prepared to lead

• The promise that you will practice what you preach

A leader should not say that quality is important and then not give people the resources to improve quality. He or she cannot lecture about teamwork yet support structures that encourage individual achievement or turf building. And when a leader who wants to appear progressive espouses “empowering people” but still micromanages, the results are sour.

Value promises are often broken because leaders have personal priorities or styles that conflict with the organizational values or because they have unclear priorities. Managers who are unsure of their personal priorities or their organization’s priorities will be more likely to change management approaches after reading the latest business book or magazine article. Management styles can be trendy. Ten years ago, creating a “learning organization” and “reengineering” were popular. Now, General Electric’s quality program “Six Sigma” and the innovation process of IDEO, the world’s largest design firm, are popular and also may be abandoned in time. While employees usually appreciate leaders who attempt to stay on top of the latest management research and who are willing to try new strategies, they may be cynical of leaders who shift from one fad to another too often.

As a leader, be careful of the explicit and implicit promises you make to your followers, and keep the following in mind:

• Like it or not, you are highly visible. If you are in a leadership position, always remember that you are under scrutiny. Take time to remind yourself of the promises you have made and to evaluate how your actions measure against your promises. Get a pulse on whether others feel that you are keeping your value promises by asking for feedback informally or through surveys.

• They often hang on every word. What growth goals have you revealed to your investors? What kinds of career growth or opportunities for your employees have you hinted are possible? These may be seen as promises.

• Your philosophies could imply promises. Are you someone who regularly repeats sayings that may indicate your beliefs or attitudes toward the way things should be done? “Attitude determines your altitude.” “No question is a stupid question.” “Hard work never goes unnoticed.” Depending on the context of when you espouse these time-worn phrases, be aware that you may be implying a promise.

Dave Marnell, a small-business owner in Pensacola, Florida, had one of his value promises put to the test and, in the eyes of his employees, came out shining. He had long told employees at his dry cleaning company, “You’re equally important as our best customer.” One morning, while still at home, Marnell received a call from Martha, an early-fifties worker at his Diamond Cleaners. Through tears, she recounted an irate phone call she had just received from a customer complaining about a botched order. Diamond’s home delivery man had only dropped off half the customer’s order, overlooking another order due to the home; it was a simple mistake that could be corrected by redelivery. The customer issued his complaint through “screaming” and various profanities, which made Martha shake and cry. She explained to Marnell how the order got messed up, and they determined a solution.

But Marnell also was concerned about how Martha had been subjected to such abusive behavior from this customer. Later, after arriving at the store, he again went over the incident with Martha. Then, with Martha at his side, Marnell called the customer and apologized for the mistake in handling his cleaning order. But he did not stop there.

“What you did to my staff member was totally out of line. No one should have to put up with that. We have your clothes, but before you get them, I’d like for you to give a sincere apology to Martha.”

The customer responded with more profanity and hung up. Ten minutes later, he called back and told Marnell that he had had a bad day and was sorry for his behavior.

“Sir, you are apologizing to the wrong person,” Marnell said.

The following day, the customer came in with a formal apology for Martha, who had been told by Marnell that if she did not think the apology was sincere enough, she could reject it and not release the rest of the customer’s order.

“Without my staff, I couldn’t put out the product that attracts my customers,” Marnell said. “It takes a good year to really train a staff member, and losing one can be detrimental to the big picture.”

Some business leaders, taking the attitude of “the customer is always right,” would never have done what Marnell did. Leaving aside the debate over which customer service approach has more merit, the point is this: Marnell made a promise, and he kept it. He said that his employees were equally as important as his customers, and his actions backed up that value.